Intu hires PwC to assist with restructuring
Written by Peter Walker
Intu Properties has brought in PwC to help advise on the restructuring of its balance sheet.
Sky News reports that the shopping centre group has called for external expertise to help its in-house team in restructuring its balance sheet ahead of future fundraising.
At the start of November, Intu warned that rental income this year was likely to fall by nine per cent, with more than half the decline coming from Company Voluntary Agreements (CVAs) agreed by Arcadia and Monsoon.
It explained that rent next year was also expected to drop, but at a slower rate than 2019, adding that political and economic uncertainty was putting off current tenants from signing up to new lettings.
The company is also trying to manage its levels of debt, and has vowed to sell off £2 billion of assets to improve its balance sheet.
In September, reports emerged that Intu was exploring a buyout deal, with private equity firm Orion Capital Managers being a frontrunner.
The British real estate investment trust owns Essex’s Lakeside, Gateshead’s Metrocentre and Manchester’s Trafford Centre, but in the last year has seen its shares fall by more than 80 per cent in value.